Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Nov. 10, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | FSB Bancorp, Inc. | |
Entity Central Index Key | 1,667,939 | |
Trading Symbol | fsbc | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 1,935,453 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2017 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
ASSETS: | ||
Cash and due from banks | $ 1,409 | $ 1,634 |
Interest earning demand deposits | 5,542 | 5,773 |
Total cash and cash equivalents | 6,951 | 7,407 |
Available-for-sale securities, at fair value | 19,053 | 17,747 |
Held-to-maturity securities, at amortized cost (fair value of $,6,959 and $7,384, respectively) | 6,919 | 7,420 |
Investment in restricted stock, at cost | 3,498 | 2,886 |
Loans held for sale | 4,180 | 2,059 |
Loans | 254,291 | 227,182 |
Less: Allowance for loan losses | (1,186) | (990) |
Loans receivable, net | 253,105 | 226,192 |
Bank owned life insurance | 3,743 | 3,696 |
Accrued interest receivable | 798 | 652 |
Premises and equipment, net | 3,172 | 3,175 |
Other assets | 3,165 | 2,487 |
Total assets | 304,584 | 273,721 |
Deposits: | ||
Non-interest bearing | 8,016 | 8,423 |
Interest bearing | 191,537 | 174,511 |
Total deposits | 199,553 | 182,934 |
Short-term borrowings | 14,500 | 6,000 |
Long-term borrowings | 55,023 | 50,813 |
Official bank checks | 2,675 | 318 |
Other liabilities | 1,520 | 1,797 |
Total liabilities | 273,271 | 241,862 |
Stockholders' equity: | ||
Preferred stock - par value $0.01; 25,000,000 shares authorized, no shares issued and outstanding | ||
Common stock, par value $0.01; 50,000,000 authorized shares; 1,872,753 and 1,941,688 shares issued and outstanding, respectively | 18 | 19 |
Paid-in capital | 15,314 | 16,352 |
Retained earnings | 16,376 | 15,923 |
Accumulated other comprehensive loss | (71) | (85) |
Unearned ESOP shares, at cost | (324) | (350) |
Total stockholders' equity | 31,313 | 31,859 |
Total liabilities and stockholders' equity | $ 304,584 | $ 273,721 |
Consolidated Balance Sheets (U3
Consolidated Balance Sheets (Unaudited) (Parenthenticals) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Statement Of Financial Position [Abstract] | ||
Fair value securities held to maturity (in dollars) | $ 6,959 | $ 7,384 |
Preferred stock - par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 25,000,000 | 25,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock - par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares issued | 1,872,753 | 1,941,688 |
Common stock, shares outstanding | 1,872,753 | 1,941,688 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Interest and dividend income: | ||||
Loans, including fees | $ 2,621 | $ 2,221 | $ 7,429 | $ 6,466 |
Securities: | ||||
Taxable | 80 | 52 | 219 | 218 |
Tax-exempt | 27 | 25 | 84 | 71 |
Mortgage-backed securities | 26 | 50 | 80 | 161 |
Other | 11 | 10 | 35 | 21 |
Total interest and dividend income | 2,765 | 2,358 | 7,847 | 6,937 |
Interest expense: | ||||
Interest on deposits | 482 | 348 | 1,282 | 1,077 |
Interest on short-term borrowings | 23 | 1 | 64 | 1 |
Interest on long-term borrowings | 218 | 165 | 631 | 528 |
Total interest expense | 723 | 514 | 1,977 | 1,606 |
Net interest income | 2,042 | 1,844 | 5,870 | 5,331 |
Provision for loan losses | 84 | 45 | 196 | 135 |
Net interest income after provision for loan losses | 1,958 | 1,799 | 5,674 | 5,196 |
Other income: | ||||
Service fees | 43 | 45 | 121 | 116 |
Fee income | 34 | 35 | 137 | 135 |
Realized gain on sale of securities | 36 | 36 | ||
Increase in cash surrender value of bank owned life insurance | 16 | 17 | 47 | 50 |
Realized gain on sale of loans | 650 | 749 | 1,667 | 1,609 |
Mortgage fee income | 244 | 240 | 613 | 586 |
Other | 44 | 40 | 134 | 120 |
Total other income | 1,031 | 1,162 | 2,719 | 2,652 |
Other expense: | ||||
Salaries and employee benefits | 1,712 | 1,626 | 4,825 | 4,452 |
Occupancy | 273 | 248 | 801 | 747 |
Data processing costs | 80 | 52 | 250 | 149 |
Advertising | 28 | 28 | 122 | 83 |
Equipment | 135 | 153 | 418 | 451 |
Electronic banking | 29 | 27 | 64 | 83 |
Directors' fees | 65 | 65 | 195 | 188 |
Mortgage fees and taxes | 43 | 123 | 114 | 336 |
FDIC premium expense | 25 | 42 | 77 | 127 |
Audits and tax services | 44 | 48 | 137 | 112 |
Other | 243 | 207 | 763 | 557 |
Total other expenses | 2,677 | 2,619 | 7,766 | 7,285 |
Income before income taxes | 312 | 342 | 627 | 563 |
Provision for income taxes | 110 | 90 | 174 | 124 |
Net income | $ 202 | $ 252 | $ 453 | $ 439 |
Earnings per common share - basic (in dollars per share) | $ 0.11 | $ 0.13 | $ 0.24 | $ 0.23 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Statement Of Income and Comprehensive Income [Abstract] | ||||
Net Income | $ 202 | $ 252 | $ 453 | $ 439 |
Unrealized holding gains on available-for-sale securities | ||||
Unrealized holding gains arising during the period | (8) | (45) | 21 | 75 |
Reclassification adjustment for net gains included in net income on securities available-for-sale | 0 | (24) | 0 | (24) |
Reclassification adjustment for net gains included in net income on securities held-to-maturity | 0 | (12) | 0 | (12) |
Net unrealized gain on available for sale securities | (8) | (81) | 21 | 39 |
Accretion of net unrealized loss on securities transferred to held-to-maturity | 0 | 68 | 0 | 323 |
Other comprehensive income, before tax | (8) | (13) | 21 | 362 |
Tax effect | (3) | (5) | 7 | 128 |
Other comprehensive income, net of tax | (5) | (8) | 14 | 234 |
Comprehensive income | 197 | 244 | 467 | 673 |
Tax Effect Allocated to Each Component of Other Comprehensive Income | ||||
Unrealized holding gains (losses) arising during the period | 3 | 16 | (7) | (25) |
Reclassification adjustment for net gains included in net income on securities available-for-sale | 0 | 8 | 0 | 8 |
Reclassification adjustment for net gains included in net income on securities held-to-maturity | 0 | 4 | 0 | 4 |
Accretion of net unrealized loss on securities transferred to held-to-maturity | 0 | (23) | 0 | (115) |
Income tax effect related to other comprehensive income (loss) | $ 3 | $ 5 | $ (7) | $ (128) |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Common Stock | Paid in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Unearned ESOP | Total |
Balance at Dec. 31, 2015 | $ 179 | $ 7,239 | $ 14,985 | $ (212) | $ (46) | $ (385) | $ 21,760 |
Comprehensive loss: | |||||||
Net income | 439 | 439 | |||||
Other comprehensive income, net of tax | 234 | 234 | |||||
ESOP shares committed to be released | 6 | 26 | 32 | ||||
Proceeds of common stock offering and conversion of existing shares, net of expenses | (159) | 9,149 | 8,990 | ||||
Cancel 5,528 treasury shares | (1) | (45) | $ 46 | ||||
Balance at Sep. 30, 2016 | 19 | 16,349 | 15,424 | 22 | (359) | 31,455 | |
Balance at Dec. 31, 2016 | 19 | 16,352 | 15,923 | (85) | (350) | 31,859 | |
Comprehensive loss: | |||||||
Net income | 453 | 453 | |||||
Other comprehensive income, net of tax | 14 | 14 | |||||
ESOP shares committed to be released | 13 | 26 | 39 | ||||
Effect of stock repurchase plan | (1) | (1,051) | (1,052) | ||||
Balance at Sep. 30, 2017 | $ 18 | $ 15,314 | $ 16,376 | $ (71) | $ (324) | $ 31,313 |
Consolidated Statements of Sto7
Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) | 9 Months Ended |
Sep. 30, 2016shares | |
Statement of Stockholders' Equity [Abstract] | |
Number of treasury shares canceled (in shares) | 5,528 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
OPERATING ACTIVITIES | ||
Net income | $ 453 | $ 439 |
Adjustments to reconcile net income to net cash flows from operating activities: | ||
Net amortization of premiums and accretion of discounts on investments | 105 | 296 |
Gain on sales of securities | (36) | |
Gain on sale of loans | (1,667) | (1,609) |
Proceeds from loans sold | 54,668 | 24,188 |
Loans originated for sale | (55,122) | (24,301) |
Amortization of net deferred loan origination costs | 339 | 174 |
Depreciation and amortization | 334 | 332 |
Provision for loan losses | 196 | 135 |
Expense related to ESOP | 39 | 32 |
Deferred income tax benefit | (98) | (120) |
Earnings on investment in bank owned life insurance | (47) | (50) |
(Increase) Decrease in accrued interest receivable | (146) | 13 |
Increase in other assets | (677) | (273) |
(Decrease) Increase in other liabilities | (186) | 293 |
Net cash flows from operating activities | (1,809) | (487) |
INVESTING ACTIVITIES | ||
Purchases of securities available-for-sale | (7,533) | (11,579) |
Proceeds from maturities and calls of securities available-for-sale | 3,500 | 9,096 |
Proceeds from sales of securities available-for-sale | 2,213 | |
Proceeds from principal paydowns on securities available-for-sale | 2,667 | 2,572 |
Purchases of securities held-to-maturity | (335) | (932) |
Proceeds from maturities and calls of securities held-to-maturity | 715 | 6,798 |
Proceeds from sales of securities held-to-maturity | 393 | |
Proceeds from principal paydowns on securities held-to-maturity | 96 | 351 |
Net increase in loans | (27,448) | (12,011) |
Purchase of restricted stock, net | (612) | (92) |
Purchase of premises and equipment | (331) | (665) |
Net cash flows from investing activities | (29,281) | (3,856) |
FINANCING ACTIVITIES | ||
Net increase (decrease) in deposits | 16,619 | (7,033) |
Proceeds from long-term borrowings | 16,500 | 9,500 |
Repayments on long-term borrowings | (12,290) | (11,812) |
Proceeds from short-term borrowings, net | 8,500 | 4,000 |
Net increase (decrease) in official bank checks | 2,357 | (619) |
Net proceeds from stock conversion and offering | 8,990 | |
Effect of stock repurchase plan | (1,052) | |
Net cash flows from financing activities | 30,634 | 3,026 |
Change in cash and cash equivalents | (456) | (1,317) |
Cash and cash equivalents at beginning of period | 7,407 | 6,147 |
Cash and cash equivalents at end of period | 6,951 | 4,830 |
CASH PAID DURING THE PERIOD FOR: | ||
Interest | 1,962 | 1,612 |
Income taxes | $ 78 | $ 113 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Basis Of Accounting [Abstract] | |
Basis of Presentation | Note 1: Basis of Presentation The accompanying unaudited consolidated financial statements of FSB Bancorp, Inc., (“FSB Bancorp”), FSB Community Bankshares, Inc. (“FSB Community”), Fairport Savings Bank (the “Bank”) and its other wholly owned subsidiary, Fairport Wealth Management (collectively, the “Company”), have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information, the instructions for Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes necessary for a complete presentation of consolidated financial condition, results of operations and cash flows in conformity with generally accepted accounting principles. In the opinion of management, all adjustments, consisting of normal recurring accruals considered necessary for a fair presentation, have been included. The results are not necessarily indicative of the results that may be expected for the year ending December 31, 2017 or for any future period. References to the Company prior to July 13, 2016 include FSB Community and not FSB Bancorp, whereas after July 13, 2016 references to the Company include FSB Bancorp and not FSB Community. The Company's consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States and follow practices within the banking industry. Application of these principles requires management to make estimates, assumptions, and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. These estimates, assumptions, and judgments are based on information available as of the date of the financial statements; accordingly, as this information changes, the financial statements could reflect different estimates, assumptions, and judgments. Certain policies inherently have a greater reliance on the use of estimates, assumptions, and judgments and as such have a greater possibility of producing results that could be materially different than originally reported. Estimates, assumptions, and judgments are necessary when assets and liabilities are required to be recorded at fair value or when an asset or liability needs to be recorded contingent upon a future event. Carrying assets and liabilities at fair value inherently results in more financial statement volatility. The fair values and information used to record valuation adjustments for certain assets and liabilities are based on quoted market prices or are provided by other third-party sources, when available. When third party information is not available, valuation adjustments are estimated in good faith by management. FSB Bancorp is a Maryland Corporation headquartered in Fairport, New York. On July 13, 2016, FSB Bancorp, completed the conversion and reorganization pursuant to which FSB Community Bankshares, MHC converted to the stock holding company form of organization. FSB Bancorp, the new stock holding company for Fairport Savings Bank, sold 1,034,649 shares of common stock, par value $0.01 per share, at $10.00 per share, for gross offering proceeds of $10.3 million in its stock offering. Additionally, after accounting for conversion related expenses of $1.4 million, which offset gross proceeds, the Company received $8.9 million in net proceeds. Concurrent with the completion of the conversion and reorganization, shares of common stock of FSB Community owned by public stockholders were exchanged for shares of FSB Bancorp’s common stock so that the former public stockholders of FSB Community owned approximately the same percentage of FSB Bancorp’s common stock as they owned of FSB Community’s common stock immediately prior to the conversion, subject to adjustment as disclosed in the prospectus. Stockholders of FSB Community received 1.0884 shares of FSB Bancorp’s common stock for each share of FSB Community’s stock they owned immediately prior to completion of the transaction. Cash in lieu of fractional shares was paid based on the offering price of $10.00 per share. All share and per share information in this report for periods prior to the conversion have been revised to reflect the 1.0884:1 conversion ratio on shares outstanding, including shares held by FSB Community Bankshares, MHC that were not publicly traded. |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements | Note 2: New Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). This new guidance supersedes the revenue recognition requirements in ASC 605, Revenue Recognition, and is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects consideration to which the entity expects to be entitled in exchange for those goods and services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. This guidance is effective for the Company for annual and interim periods beginning after December 15, 2017, and should be applied either retrospectively to each prior reporting period presented or retrospectively with the cumulative effect of initially applying this guidance recognized at the date of initial application. The Company's implementation efforts include the identification of revenue within the scope of the guidance, as well as evaluation of revenue contracts. The Company's review is ongoing, and the Company will continue to evaluate any impact as additional guidance is issued and as our internal assessment progresses. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This new guidance supersedes the lease requirements in Topic 840, Leases and is based on the principle that a lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. The accounting applied by a lessor is largely unchanged from that applied under the previous guidance. In addition, the guidance requires an entity to separate the lease components from the nonlease components in a contract. The ASU requires disclosures about the amount, timing, and judgments related to a reporting entity's accounting for leases and related cash flows. The standard is required to be applied to all leases in existence as of the date of adoption using a modified retrospective transition approach. This guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted for all companies in any interim or annual period. The Company occupies certain offices and uses certain equipment under non-cancelable operating lease agreements, which currently are not reflected in its consolidated statement of condition. The Company expects to recognize lease liabilities and right of use assets associated with these lease agreements; however, the extent of the impact on the Company's consolidated financial statements is currently under evaluation. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326). This new guidance significantly changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. This ASU will replace the "incurred loss" model under existing guidance with an "expected loss" model for instruments measured at amortized cost, and require entities to record allowances for available-for-sale debt securities rather than reduce the carrying amount, as they do today under the other-than-temporary impairment model. This ASU also simplifies the accounting model for purchased credit-impaired debt securities and loans. This guidance requires adoption through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. This ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for all companies as of fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the impact the guidance will have on the Company's consolidated financial statements, and expects an increase in the allowance for credit losses resulting from the change to expected losses for the estimated life of the financial asset, including an allowance for debt securities. The amount of the increase in the allowance for credit losses resulting from the new guidance will be impacted by the portfolio composition and asset quality at the adoption date, as well as economic conditions and forecasts at the time of adoption. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230). The amendments provide guidance on the following eight specific cash flow issues: 1) debt prepayment or debt extinguishment costs; 2) settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; 3) contingent consideration payments made after a business combination; 4) proceeds from the settlement of insurance claims; 5) proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; 6) distributions received from equity method investees; 7) beneficial interests in securitization transactions; and 8) separately identifiable cash flows and application of the predominance principle. This ASU is effective for fiscal years beginning after December 31, 2017, including interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. As this guidance only affects the classification within the statement of cash flows, this ASU is not expected to have a material impact on the Company's consolidated financial statements. In March 2017, the FASB issued an Update (ASU 2017-08) to its guidance on “Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20) related to premium amortization on purchased callable debt securities. The amendments in this Update shorten the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. For public business entities, the amendments in this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity should apply the amendments in this Update on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. Additionally, in the period of adoption, an entity should provide disclosure about a change in accounting principle. The adoption of this guidance is not expected to have a material impact on our consolidated results of operations or financial position. |
Earnings per Common Share
Earnings per Common Share | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Note 3: Earnings per Common Share Basic earnings per share is calculated by dividing net income available to common stockholders by the weighted average number of common shares outstanding during the period. Net income available to common stockholders is net income to FSB Bancorp, Inc. The Company has not granted any restricted stock awards or stock options during the periods ended September 30, 2017 and 2016, and therefore had no potentially dilutive common stock equivalents. Unallocated common shares held by the ESOP are not included in the weighted-average number of common shares outstanding for purposes of calculating earnings per common share until they are committed to be released. The following tables set forth the calculation of basic earnings per share. Historical share and per share data have been adjusted by the exchange ratio of 1.0884 used in the conversion and offering Three months ended September 30, (In thousands, except per share data) 2017 2016 Basic Earnings Per Common Share Net income available to common stockholders $ 202 $ 252 Weighted average common shares outstanding 1,892 1,905 Basic earnings per common share $ 0.11 $ 0.13 Nine months ended September 30, (In thousands, except per share data) 2017 2016 Basic Earnings Per Common Share Net income available to common stockholders $ 453 $ 439 Weighted average common shares outstanding 1,903 1,899 Basic earnings per common share $ 0.24 $ 0.23 |
Investment Securities
Investment Securities | 9 Months Ended |
Sep. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Note 4: Investment Securities The amortized cost and estimated fair value of investment securities are summarized as follows: September 30, 2017 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Available-for-Sale Portfolio U.S. Government and agency obligations $ 10,613 $ 1 $ (75 ) $ 10,539 Mortgage-backed securities – residential 8,547 24 (57 ) 8,514 Total available-for-sale $ 19,160 $ 25 $ (132 ) $ 19,053 Held-to-Maturity Portfolio Mortgage-backed securities – residential $ 649 $ 10 $ - $ 659 State and municipal securities 6,270 48 (18 ) 6,300 Total held-to-maturity $ 6,919 $ 58 $ (18 ) $ 6,959 December 31, 2016 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Available-for-Sale Portfolio U.S. Government and agency obligations $ 8,106 $ 3 $ (110 ) $ 7,999 Mortgage-backed securities – residential 9,769 42 (63 ) 9,748 Total available-for-sale $ 17,875 $ 45 $ (173 ) $ 17,747 Held-to-Maturity Portfolio Mortgage-backed securities – residential $ 745 $ 13 $ - $ 758 State and municipal securities 6,675 25 (74 ) 6,626 Total held-to-maturity $ 7,420 $ 38 $ (74 ) $ 7,384 The amortized cost and estimated fair value of debt investments at September 30, 2017 by contractual maturity are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without penalties. Available-for-Sale Held-to-Maturity Amortized Amortized (In thousands) Cost Fair Value Cost Fair Value Due in one year or less $ - $ - $ 998 $ 999 Due after one year through five years 8,608 8,546 3,685 3,698 Due after five years through ten years 1,005 1,007 1,587 1,603 Due after ten years 1,000 986 - - Sub-total $ 10,613 $ 10,539 $ 6,270 $ 6,300 Mortgage-backed securities – residential 8,547 8,514 649 659 Totals $ 19,160 $ 19,053 $ 6,919 $ 6,959 The Company’s investment securities’ gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, are as follows: September 30, 2017 Less than Twelve Months Twelve Months or More Total Number of Number of Number of Individual Unrealized Fair Individual Unrealized Fair Individual Unrealized Fair (Dollars in thousands) Securities Losses Value Securities Losses Value Securities Losses Value Available-for-Sale U.S. Government and agency obligations 3 $ 9 $ 3,493 5 $ 66 $ 6,040 8 $ 75 $ 9,533 Mortgage-backed securities - residential 4 24 3,492 3 33 2,478 7 57 5,970 Totals 7 $ 33 $ 6,985 8 $ 99 $ 8,518 15 $ 132 $ 15,503 Held-to-Maturity Mortgage-backed securities – residential (1) 1 $ - $ 173 - $ - $ - 1 $ - $ 173 State and municipal securities 7 5 924 6 13 1,422 13 18 2,346 Totals 8 $ 5 $ 1,097 6 $ 13 $ 1,422 14 $ 18 $ 2,519 December 31, 2016 Less than Twelve Months Twelve Months or More Total Number of Number of Number of Individual Unrealized Fair Individual Unrealized Fair Individual Unrealized Fair (Dollars in thousands) Securities Losses Value Securities Losses Value Securities Losses Value Available-for-Sale U.S. Government and agency obligations 6 $ 110 $ 6,996 - $ - $ - 6 $ 110 $ 6,996 Mortgage-backed securities - residential 3 49 4,441 2 14 987 5 63 5,428 Totals 9 $ 159 $ 11,437 2 $ 14 $ 987 11 $ 173 $ 12,424 Held-to-Maturity Mortgage-backed securities – residential (1) 1 $ - $ 178 - $ - $ - 1 $ - $ 178 State and municipal securities (1) 14 74 4,275 1 - 45 15 74 4,320 Totals 15 $ 74 $ 4,453 1 $ - $ 45 16 $ 74 $ 4,498 (1) The Company conducts a formal review of investment securities on a quarterly basis for the presence of other-than-temporary impairment (“OTTI”). The Company assesses whether OTTI is present when the fair value of a debt security is less than its amortized cost basis at the statement of condition date. Under these circumstances, OTTI is considered to have occurred (1) if we intend to sell the security; (2) if it is “more likely than not” we will be required to sell the security before recovery of its amortized cost basis; or (3) the present value of expected cash flows is not anticipated to be sufficient to recover the entire amortized cost basis. The guidance requires that credit-related OTTI is recognized in earnings while non-credit-related OTTI on securities not expected to be sold is recognized in other comprehensive income (“OCI”). Non-credit-related OTTI is based on other factors, including illiquidity and changes in the general interest rate environment. Presentation of OTTI is made in the consolidated statement of income on a gross basis, including both the portion recognized in earnings as well as the portion recorded in OCI. The gross OTTI would then be offset by the amount of non-credit-related OTTI, showing the net as the impact on earnings. There were 29 securities in an unrealized loss position at September 30, 2017, of which 14 have been in loss positions for a period greater than twelve months and 15 have been in loss positions for a period less than twelve months. This compares to 27 securities in an unrealized loss position at December 31, 2016, of which three had been in loss positions for a period greater than twelve months and 24 had been in loss positions for a period less than twelve months. These issuing entities are currently rated Aaa by Moody’s Investor Services and AA+ by Standard and Poors. Among the 14 securities in loss positions for a period greater than twelve months at September 30, 2017, eight were either direct issuances of, or mortgage-backed securities or collateralized mortgage obligations issued by, the following entities sponsored and guaranteed by the United States Government: GNMA, FNMA, and FHLMC. The remaining six securities that have been in a loss position for a period greater than twelve months were issued by a state or political subdivision, primarily local municipalities. The unrealized losses reflected are primarily attributable to changes in interest rates since the securities were acquired. Among the 15 securities in an unrealized loss position at September 30, 2017 for less than twelve months, eight were either direct issuances of, or mortgage-backed securities or collateralized mortgage obligations issued by, the following entities sponsored and guaranteed by the United States Government: FNMA, FHLMC, FHLB and FFCB. The remaining seven securities were issued by a state or political subdivision, primarily local municipalities. The unrealized losses reflected are primarily attributable to changes in interest rates since the securities were acquired. The Company does not intend to sell these securities, nor is it more likely than not, that the Company will be required to sell these securities prior to recovery of the amortized cost. The state and municipal securities are general obligation (G.O.) bonds backed by the full faith and credit of local municipalities. There has never been a default of a New York G.O. in the history of the state. Historical performance does not guarantee future performance, but it does indicate that the risk of loss on default of a G.O. municipal bond for the Company is relatively low. All are paying in accordance with their terms with no deferrals of interest or defaults. As such, management does not believe any individual unrealized loss as of September 30, 2017 represents OTTI. There were no gross realized gains or losses on sales of securities for the three and nine months ended September 30, 2017. There were $24,000 of gross realized gains on sales of securities available-for-sale and $12,000 of gross realized gains on sales of securities held-to-maturity resulting from proceeds of $2.6 million for the three months and nine months ended September 30, 2016. In accordance with accounting guidance, the Company was able to sell securities classified as held-to-maturity after the Company had already collected a substantial portion (at least 85%) of the principal outstanding at acquisition due either to prepayments or to scheduled principal and interest payments on debt securities. As of September 30, 2017 and December 31, 2016, no securities were pledged to secure public deposits or for any other purpose required or permitted by law. Management has reviewed its loan and mortgage-backed securities portfolios and determined that, to the best of its knowledge, little or no exposure exists to sub-prime or other high-risk residential mortgages. The Company is not in the practice of investing in, or originating, these types of investments or loans. |
Loans
Loans | 9 Months Ended |
Sep. 30, 2017 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Loans | Note 5: Loans Major classifications of loans at the indicated dates are as follows: September 30, December 31, (In thousands) 2017 2016 Real estate loans: Secured by one-to-four family residences $ 201,711 $ 188,573 Secured by multi-family residences 8,602 5,103 Construction 10,295 6,134 Commercial real estate 12,728 8,440 Home equity lines of credit 17,690 16,797 Total real estate loans 251,026 225,047 Commercial and industrial loans 3,203 1,947 Other loans 68 75 Total loans 254,297 227,069 Net deferred loan origination costs (6 ) 113 Less allowance for loan losses (1,186 ) (990 ) Loans receivable, net $ 253,105 $ 226,192 The Company originates residential mortgage, commercial, and consumer loans largely to customers throughout Monroe county and the surrounding western New York counties of Erie, Livingston, Ontario, Orleans, Jefferson and Wayne. Although the Company has a diversified loan portfolio, a substantial portion of its borrowers’ abilities to honor their loan contracts is dependent upon the counties’ employment and economic conditions. As of September 30, 2017 and December 31, 2016, residential mortgage loans with a carrying value of $186.6 million and $165.5 million, respectively, have been pledged by the Company to the Federal Home Loan Bank of New York (“FHLBNY”) under a blanket collateral agreement to secure the Company’s line of credit and term borrowings. The Company retains the servicing on most fixed-rate mortgage loans sold and receives a fee based on the principal balance outstanding. Loans serviced for others totaled $131.5 million and $118.6 million at September 30, 2017 and December 31, 2016, respectively. Loan servicing rights are recorded at fair value when loans are sold with servicing rights retained. The fair value of the mortgage servicing rights (“MSRs”) is determined using a method which utilizes servicing income, discount rates, and prepayment speeds relative to the Bank’s portfolio for MSRs and are amortized over the life of the loan. MSRs amounted to $895,000 and $804,000 at September 30, 2017 and December 31, 2016, respectively, and are included in other assets on the consolidated balance sheets. Loan Origination / Risk Management The Company’s lending policies and procedures are presented in Note 3 to the consolidated financial statements included in FSB Bancorp’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 16, 2017 and have not changed. To develop and document a systematic methodology for determining the allowance for loan losses, the Company has divided the loan portfolio into two portfolio segments, each with different risk characteristics but with similar methodologies for assessing risk. Each portfolio segment is broken down into loan classes where appropriate. Loan classes contain unique measurement attributes, risk characteristics, and methods for monitoring and assessing risk that are necessary to develop the allowance for loan losses. Unique characteristics such as borrower type, loan type, collateral type, and risk characteristics define each class. The following table illustrates the portfolio segments and classes for the Company’s loan portfolio: Portfolio Segment Class Real Estate Loans Secured by one-to-four family residences Secured by multi-family residences Construction Commercial real estate Home equity lines of credit Other Loans Commercial and industrial Other loans The following tables present the classes of the loan portfolio, not including net deferred loan fees, summarized by the aggregate pass rating and the classified ratings of special mention, substandard and doubtful within the Company's internal risk rating system as of the dates indicated: As of September 30, 2017 Special (In thousands) Pass Mention Substandard Doubtful Total Real estate loans: Secured by one-to-four family residences $ 198,887 $ - $ 2,824 $ - $ 201,711 Secured by multi-family residences 8,602 - - - 8,602 Construction 10,295 - - - 10,295 Commercial real estate 12,728 - - - 12,728 Home equity lines of credit 17,454 - 236 - 17,690 Total real estate loans 247,966 - 3,060 - 251,026 Commercial & industrial loans 3,137 - 66 - 3,203 Other loans 68 - - - 68 Total loans $ 251,171 $ - $ 3,126 $ - $ 254,297 As of December 31, 2016 Special (In thousands) Pass Mention Substandard Doubtful Total Real estate loans: Secured by one-to-four family residences $ 187,079 $ - $ 1,494 $ - $ 188,573 Secured by multi-family residences 5,103 - - - 5,103 Construction 6,134 - - - 6,134 Commercial real estate 8,440 - - - 8,440 Home equity lines of credit 16,498 - 299 - 16,797 Total real estate loans 223,254 - 1,793 - 225,047 Commercial & industrial loans 1,900 - 47 - 1,947 Other loans 75 - - - 75 Total loans $ 225,229 $ - $ 1,840 $ - $ 227,069 Real estate loans secured by one-to four family residences rated substandard increased $1.3 million, or 89.0%, to $2.8 million at September 30, 2017 from $1.5 million at December 31, 2016 due to eight loans newly categorized as such during the nine months ended September 30, 2017. Management has reviewed its loan portfolio and determined that, to the best of its knowledge, no exposure exists to sub-prime or other high-risk residential mortgages. The Company is not in the practice of originating these types of loans. Nonaccrual and Past Due Loans Loans are placed on nonaccrual when the contractual payment of principal and interest has become 90 days past due or management has serious doubts about further collectability of principal or interest, even though the loan may be currently performing. Loans are considered past due if the required principal and interest payments have not been received within thirty days of the payment due date. An age analysis of past due loans, segregated by portfolio segment and class of loans, as of September 30, 2017 and December 31, 2016, are detailed in the following tables: As of September 30, 2017 30-59 Days 60-89 Days Past Due Past Due 90 Days Total Total Loans (In thousands) And Accruing And Accruing and Over Past Due Current Receivable Real estate loans: Secured by one-to-four family residences $ 495 $ - $ 37 $ 532 $ 201,179 $ 201,711 Secured by multi-family residences - - - - 8,602 8,602 Construction - - - - 10,295 10,295 Commercial - - - - 12,728 12,728 Home equity lines of credit - - - - 17,690 17,690 Total real estate loans 495 - 37 532 250,494 251,026 Commercial & industrial loans - - 66 66 3,137 3,203 Other loans - - - - 68 68 Total loans $ 495 $ - $ 103 $ 598 $ 253,699 $ 254,297 As of December 31, 2016 30-59 Days 60-89 Days Past Due Past Due 90 Days Total Total Loans (In thousands) And Accruing And Accruing and Over Past Due Current Receivable Real estate loans: Secured by one-to-four family residences $ 89 $ - $ - $ 89 $ 188,484 $ 188,573 Secured by multi-family residences - - - - 5,103 5,103 Construction - - - - 6,134 6,134 Commercial - - - - 8,440 8,440 Home equity lines of credit - - - - 16,797 16,797 Total real estate loans 89 - - 89 224,958 225,047 Commercial & industrial loans 47 - - 47 1,900 1,947 Other loans - - - - 75 75 Total loans $ 136 $ - $ - $ 136 $ 226,933 $ 227,069 Real estate loans secured by one-to four family residences 30-59 days past due and accruing increased $406,000, or 456.2%, to $495,000 at September 30, 2017 from $89,000 at December 31, 2016 due to three loans newly categorized as such during the nine months ended September 30, 2017. At September 30, 2017, the Company had one nonaccrual residential mortgage loan for $37,000. At December 31, 2016, the Company had no nonaccrual loans. There was one commercial and industrial loan for $66,000 that was past due 90 days or more and still accruing interest at September 30, 2017 and no loans that were past due 90 days or more and still accruing interest at December 31, 2016. At September 30, 2017 and December 31, 2016, there were no loans considered to be impaired and no troubled debt restructurings. |
Allowance for Loan Losses and F
Allowance for Loan Losses and Foreclosed Real Estate | 9 Months Ended |
Sep. 30, 2017 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Allowance for Loan Losses and Foreclosed Real Estate | Note 6: Allowance for Loan Losses and Foreclosed Real Estate Summarized in the tables below are changes in the allowance for loan losses for the indicated periods and information pertaining to the allocation of the allowance for loan losses, balances of the allowance for loan losses, loans receivable based on individual, and collective impairment evaluation by loan portfolio class. An allocation of a portion of the allowance to a given portfolio class does not limit the Company’s ability to absorb losses in another portfolio class. For the three months ended September 30, 2017 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 690 $ 47 $ 49 $ 106 $ 109 $ 38 $ 63 $ 1,102 Charge-offs - - - - - - - - Recoveries - - - - - - - - Provisions 93 18 2 21 2 9 (61 ) 84 Ending balance $ 783 $ 65 $ 51 $ 127 $ 111 $ 47 $ 2 $ 1,186 For the three months ended September 30, 2016 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 569 $ 39 $ 18 $ 47 $ 105 $ 13 $ 109 $ 900 Charge-offs - - - - - - - - Recoveries - - - - - - - - Provisions (15 ) - 9 18 3 11 19 45 Ending balance $ 554 $ 39 $ 27 $ 65 $ 108 $ 24 $ 128 $ 945 For the nine months ended September 30, 2017 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 584 $ 38 $ 31 $ 84 $ 112 $ 28 $ 113 $ 990 Charge-offs - - - - - - - - Recoveries - - - - - - - - Provisions 199 27 20 43 (1 ) 19 (111 ) 196 Ending balance $ 783 $ 65 $ 51 $ 127 $ 111 $ 47 $ 2 $ 1,186 For the nine months ended September 30, 2016 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 524 $ 39 $ 6 $ 35 $ 101 $ 11 $ 95 $ 811 Charge-offs - - - - - - (1 ) (1 ) Recoveries - - - - - - - - Provisions 30 - 21 30 7 13 34 135 Ending balance $ 554 $ 39 $ 27 $ 65 $ 108 $ 24 $ 128 $ 945 The Company had no foreclosed real estate at September 30, 2017 or December 31, 2016. At September 30, 2017, the Company had one residential real estate loan for $37,000 in the process of foreclosure and at December 31, 2016, the Company did not have any residential real estate loans in the process of foreclosure. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 7: Fair Value Measurements Accounting guidance related to fair value measurements and disclosures specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. These two types of inputs have created the following fair value hierarchy: Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. Level 2 – Quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. Level 3 – Model-derived valuations in which one or more significant inputs or significant value drivers are unobservable. An asset’s or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs, minimize the use of unobservable inputs, to the extent possible, and considers counterparty credit risk in its assessment of fair value. The following tables summarize assets measured at fair value on a recurring basis as of the indicated dates, segregated by the level of valuation inputs within the hierarchy utilized to measure fair value: September 30, 2017 (In thousands) Level 1 Level 2 Level 3 Total Fair Value Available-for-sale portfolio U.S. Government and agency obligations $ - $ 10,539 $ - $ 10,539 Mortgage-backed securities – residential - 8,514 - 8,514 Total available-for-sale securities $ - $ 19,053 $ - $ 19,053 December 31, 2016 (In thousands) Level 1 Level 2 Level 3 Total Fair Value Available-for-sale portfolio U.S. Government and agency obligations $ - $ 7,999 $ - $ 7,999 Mortgage-backed securities – residential - 9,748 - 9,748 Total available-for-sale securities $ - $ 17,747 $ - $ 17,747 There have been no transfers of assets into or out of any fair value measurement level during the quarter ended September 30, 2017. Required disclosures include fair value information of financial instruments, whether or not recognized in the consolidated statement of condition, for which it is practicable to estimate that value. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instrument. The Company has various processes and controls in place to ensure that fair value is reasonably estimated. The Company performs due diligence procedures over third-party pricing service providers in order to support their use in the valuation process. While the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Management uses its best judgment in estimating the fair value of the Company’s financial instruments; however, there are inherent weaknesses in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates herein are not necessarily indicative of the amounts the Company could have realized in a sale transaction on the dates indicated. The estimated fair value amounts have been measured as of their respective period-ends, and have not been re-evaluated or updated for purposes of these financial statements subsequent to those respective dates. As such, the estimated fair values of these financial instruments subsequent to the respective reporting dates may be different than the amounts reported at each period-end. The following information should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only provided for a limited portion of the Company’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company’s disclosures and those of other companies may not be meaningful. The Company, in estimating its fair value disclosures for financial instruments, used the following methods and assumptions: Cash, Due from Banks, and Interest Earning Demand Deposits The carrying amounts of these assets approximate their fair values. Investment Securities The fair value of securities available for sale (carried at fair value) and held to maturity (carried at amortized cost) are determined by matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted market prices for the specific securities but rather relying on the securities’ relationship to other benchmark quoted prices and is considered to be a Level 2 measurement. Investment in Restricted Stock The carrying value of restricted stock, which consists of Federal Home Loan Bank and Atlantic Community Bankers Bank, approximates its fair value based on the redemption provisions of the restricted stock, resulting in a Level 2 classification. Loans The fair values of loans held in portfolio are estimated using discounted cash flow analyses, using market rates at the balance sheet date that reflect the credit and interest rate-risk inherent in the loans, resulting in a Level 3 classification. Projected future cash flows are calculated based upon contractual maturity or call dates, projected repayments and prepayments of principal. Generally, for variable rate loans that reprice frequently and with no significant change in credit risk, fair values are based on carrying values. Mortgage loans held for sale in the secondary market are carried at the lower of cost or fair value, resulting in a Level 2 classification. Separate determinations of fair value for residential and commercial loans are made on an aggregate basis. Fair value is determined based solely on the effect of changes in secondary market interest rates and yield requirements from the commitment date to the date of the financial statements. Accrued Interest Receivable and Payable The carrying amount of accrued interest receivable and payable approximates fair value. Deposits The fair values disclosed for demand deposits (e.g., NOW accounts, non-interest checking, regular savings and certain types of money market accounts) are, by definition, equal to the amount payable on demand at the reporting date (i.e., their carrying amounts), resulting in a Level 1 classification. The carrying amounts for variable-rate certificates of deposit approximate their fair values at the reporting date, resulting in a Level 1 classification. Fair values for fixed-rate certificates of deposit are estimated using a discounted cash flow calculation that applies market interest rates currently being offered on certificates to a schedule of aggregated expected monthly maturities on time deposits, resulting in a Level 2 classification. Borrowings The fair values of FHLB long-term borrowings are estimated using discounted cash flow analyses, based on the quoted rates for new FHLB advances with similar credit risk characteristics, terms and remaining maturity, resulting in a Level 2 classification. The carrying amounts and fair values of the Company’s financial instruments as of the indicated dates are presented in the following table: September 30, 2017 December 31, 2016 Fair Value Carrying Estimated Carrying Estimated (In thousands) Hierarchy Amounts Fair Values Amounts Fair Values Financial assets: Cash and due from banks 1 $ 1,409 $ 1,409 $ 1,634 $ 1,634 Interest earning demand deposits 1 5,542 5,542 5,773 5,773 Securities - available-for-sale 2 19,053 19,053 17,747 17,747 Securities - held-to-maturity 2 6,919 6,959 7,420 7,384 Investment in restricted stock 2 3,498 3,498 2,886 2,886 Loans held for sale 2 4,180 4,180 2,059 2,059 Loans, net 3 253,105 252,144 226,192 225,569 Accrued interest receivable 1 798 798 652 652 Financial liabilities: Demand Deposits, Savings, NOW and MMDA 1 99,222 99,222 94,926 94,926 Time Deposits 2 100,331 100,509 88,008 88,043 Borrowings 2 69,523 69,441 56,813 57,008 Accrued interest payable 1 86 86 71 71 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2017 | |
Comprehensive Income Loss Note [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 8: Accumulated Other Comprehensive Income (Loss) Changes in the components of accumulated other comprehensive income (loss) (“AOCI”), net of tax, for the periods indicated are summarized in the table below. For the three months ended September 30, 2017 (In thousands) Unrealized Gains and Losses on Unrealized Loss on Securities Total Beginning balance $ (66 ) $ - $ (66 ) Other comprehensive loss before reclassifications (5 ) - (5 ) Ending balance $ (71 ) $ - $ (71 ) For the three months ended September 30, 2016 (In thousands) Unrealized Gains and Losses on Securities reclassified from AFS Total Beginning balance $ 75 $ (45 ) $ 30 Other comprehensive (loss) income before reclassifications (53 ) 45 (8 ) Ending balance $ 22 $ - $ 22 For the three months ended September 30, Details about AOCI 2017 2016 Affected Line Item in the Statement of Income Available for sale securities $ - $ 24 Realized gain on sale of securities Held to maturity securities - 12 Realized gain on sale of securities - (12 ) Provision for Income Taxes $ - $ 24 Net Income For the nine months ended September 30, 2017 (In thousands) Unrealized Gains and Losses on Unrealized Loss on Securities Total Beginning balance $ (85 ) $ - $ (85 ) Other comprehensive income before reclassifications 14 - 14 Ending balance $ (71 ) $ - $ (71 ) For the nine months ended September 30, 2016 (In thousands) Unrealized Gains and Losses on Securities reclassified from AFS Total Beginning balance $ (4 ) $ (208 ) $ (212 ) Other comprehensive income before reclassifications 26 208 234 Ending balance $ 22 $ - $ 22 For the nine months ended September 30, Details about AOCI 2017 2016 Affected Line Item in the Statement of Income Available for sale securities $ - $ 24 Realized gain on sale of securities Held to maturity securities - 12 Realized gain on sale of securities - (12 ) Provision for Income Taxes $ - $ 24 Net Income |
Accounting Policy (Policies)
Accounting Policy (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated financial statements of FSB Bancorp, Inc., (“FSB Bancorp”), FSB Community Bankshares, Inc. (“FSB Community”), Fairport Savings Bank (the “Bank”) and its other wholly owned subsidiary, Fairport Wealth Management (collectively, the “Company”), have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information, the instructions for Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes necessary for a complete presentation of consolidated financial condition, results of operations and cash flows in conformity with generally accepted accounting principles. In the opinion of management, all adjustments, consisting of normal recurring accruals considered necessary for a fair presentation, have been included. The results are not necessarily indicative of the results that may be expected for the year ending December 31, 2017 or for any future period. References to the Company prior to July 13, 2016 include FSB Community and not FSB Bancorp, whereas after July 13, 2016 references to the Company include FSB Bancorp and not FSB Community. The Company's consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States and follow practices within the banking industry. Application of these principles requires management to make estimates, assumptions, and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. These estimates, assumptions, and judgments are based on information available as of the date of the financial statements; accordingly, as this information changes, the financial statements could reflect different estimates, assumptions, and judgments. Certain policies inherently have a greater reliance on the use of estimates, assumptions, and judgments and as such have a greater possibility of producing results that could be materially different than originally reported. Estimates, assumptions, and judgments are necessary when assets and liabilities are required to be recorded at fair value or when an asset or liability needs to be recorded contingent upon a future event. Carrying assets and liabilities at fair value inherently results in more financial statement volatility. The fair values and information used to record valuation adjustments for certain assets and liabilities are based on quoted market prices or are provided by other third-party sources, when available. When third party information is not available, valuation adjustments are estimated in good faith by management. FSB Bancorp is a Maryland Corporation headquartered in Fairport, New York. On July 13, 2016, FSB Bancorp, completed the conversion and reorganization pursuant to which FSB Community Bankshares, MHC converted to the stock holding company form of organization. FSB Bancorp, the new stock holding company for Fairport Savings Bank, sold 1,034,649 shares of common stock, par value $0.01 per share, at $10.00 per share, for gross offering proceeds of $10.3 million in its stock offering. Additionally, after accounting for conversion related expenses of $1.4 million, which offset gross proceeds, the Company received $8.9 million in net proceeds. Concurrent with the completion of the conversion and reorganization, shares of common stock of FSB Community owned by public stockholders were exchanged for shares of FSB Bancorp’s common stock so that the former public stockholders of FSB Community owned approximately the same percentage of FSB Bancorp’s common stock as they owned of FSB Community’s common stock immediately prior to the conversion, subject to adjustment as disclosed in the prospectus. Stockholders of FSB Community received 1.0884 shares of FSB Bancorp’s common stock for each share of FSB Community’s stock they owned immediately prior to completion of the transaction. Cash in lieu of fractional shares was paid based on the offering price of $10.00 per share. All share and per share information in this report for periods prior to the conversion have been revised to reflect the 1.0884:1 conversion ratio on shares outstanding, including shares held by FSB Community Bankshares, MHC that were not publicly traded. |
New Accounting Pronouncements | New Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606). This new guidance supersedes the revenue recognition requirements in ASC 605, Revenue Recognition, and is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects consideration to which the entity expects to be entitled in exchange for those goods and services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. This guidance is effective for the Company for annual and interim periods beginning after December 15, 2017, and should be applied either retrospectively to each prior reporting period presented or retrospectively with the cumulative effect of initially applying this guidance recognized at the date of initial application. The Company's implementation efforts include the identification of revenue within the scope of the guidance, as well as evaluation of revenue contracts. The Company's review is ongoing, and the Company will continue to evaluate any impact as additional guidance is issued and as our internal assessment progresses. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). This new guidance supersedes the lease requirements in Topic 840, Leases and is based on the principle that a lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. The accounting applied by a lessor is largely unchanged from that applied under the previous guidance. In addition, the guidance requires an entity to separate the lease components from the nonlease components in a contract. The ASU requires disclosures about the amount, timing, and judgments related to a reporting entity's accounting for leases and related cash flows. The standard is required to be applied to all leases in existence as of the date of adoption using a modified retrospective transition approach. This guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted for all companies in any interim or annual period. The Company occupies certain offices and uses certain equipment under non-cancelable operating lease agreements, which currently are not reflected in its consolidated statement of condition. The Company expects to recognize lease liabilities and right of use assets associated with these lease agreements; however, the extent of the impact on the Company's consolidated financial statements is currently under evaluation. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326). This new guidance significantly changes how entities will measure credit losses for most financial assets and certain other instruments that are not measured at fair value through net income. This ASU will replace the "incurred loss" model under existing guidance with an "expected loss" model for instruments measured at amortized cost, and require entities to record allowances for available-for-sale debt securities rather than reduce the carrying amount, as they do today under the other-than-temporary impairment model. This ASU also simplifies the accounting model for purchased credit-impaired debt securities and loans. This guidance requires adoption through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. This ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for all companies as of fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is currently evaluating the impact the guidance will have on the Company's consolidated financial statements, and expects an increase in the allowance for credit losses resulting from the change to expected losses for the estimated life of the financial asset, including an allowance for debt securities. The amount of the increase in the allowance for credit losses resulting from the new guidance will be impacted by the portfolio composition and asset quality at the adoption date, as well as economic conditions and forecasts at the time of adoption. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230). The amendments provide guidance on the following eight specific cash flow issues: 1) debt prepayment or debt extinguishment costs; 2) settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; 3) contingent consideration payments made after a business combination; 4) proceeds from the settlement of insurance claims; 5) proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; 6) distributions received from equity method investees; 7) beneficial interests in securitization transactions; and 8) separately identifiable cash flows and application of the predominance principle. This ASU is effective for fiscal years beginning after December 31, 2017, including interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. As this guidance only affects the classification within the statement of cash flows, this ASU is not expected to have a material impact on the Company's consolidated financial statements. In March 2017, the FASB issued an Update (ASU 2017-08) to its guidance on “Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20) related to premium amortization on purchased callable debt securities. The amendments in this Update shorten the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. For public business entities, the amendments in this Update are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity should apply the amendments in this Update on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. Additionally, in the period of adoption, an entity should provide disclosure about a change in accounting principle. The adoption of this guidance is not expected to have a material impact on our consolidated results of operations or financial position. |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of basic earnings per share | Three months ended September 30, (In thousands, except per share data) 2017 2016 Basic Earnings Per Common Share Net income available to common stockholders $ 202 $ 252 Weighted average common shares outstanding 1,892 1,905 Basic earnings per common share $ 0.11 $ 0.13 Nine months ended September 30, (In thousands, except per share data) 2017 2016 Basic Earnings Per Common Share Net income available to common stockholders $ 453 $ 439 Weighted average common shares outstanding 1,903 1,899 Basic earnings per common share $ 0.24 $ 0.23 |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost and estimated fair value of securities | September 30, 2017 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Available-for-Sale Portfolio U.S. Government and agency obligations $ 10,613 $ 1 $ (75 ) $ 10,539 Mortgage-backed securities – residential 8,547 24 (57 ) 8,514 Total available-for-sale $ 19,160 $ 25 $ (132 ) $ 19,053 Held-to-Maturity Portfolio Mortgage-backed securities – residential $ 649 $ 10 $ - $ 659 State and municipal securities 6,270 48 (18 ) 6,300 Total held-to-maturity $ 6,919 $ 58 $ (18 ) $ 6,959 December 31, 2016 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Available-for-Sale Portfolio U.S. Government and agency obligations $ 8,106 $ 3 $ (110 ) $ 7,999 Mortgage-backed securities – residential 9,769 42 (63 ) 9,748 Total available-for-sale $ 17,875 $ 45 $ (173 ) $ 17,747 Held-to-Maturity Portfolio Mortgage-backed securities – residential $ 745 $ 13 $ - $ 758 State and municipal securities 6,675 25 (74 ) 6,626 Total held-to-maturity $ 7,420 $ 38 $ (74 ) $ 7,384 |
Schedule of amortized cost and estimated fair value by contractual maturity of debt securities | Available-for-Sale Held-to-Maturity Amortized Amortized (In thousands) Cost Fair Value Cost Fair Value Due in one year or less $ - $ - $ 998 $ 999 Due after one year through five years 8,608 8,546 3,685 3,698 Due after five years through ten years 1,005 1,007 1,587 1,603 Due after ten years 1,000 986 - - Sub-total $ 10,613 $ 10,539 $ 6,270 $ 6,300 Mortgage-backed securities – residential 8,547 8,514 649 659 Totals $ 19,160 $ 19,053 $ 6,919 $ 6,959 |
Schedule of continuous unrealized loss position for investment securities | September 30, 2017 Less than Twelve Months Twelve Months or More Total Number of Number of Number of Individual Unrealized Fair Individual Unrealized Fair Individual Unrealized Fair (Dollars in thousands) Securities Losses Value Securities Losses Value Securities Losses Value Available-for-Sale U.S. Government and agency obligations 3 $ 9 $ 3,493 5 $ 66 $ 6,040 8 $ 75 $ 9,533 Mortgage-backed securities - residential 4 24 3,492 3 33 2,478 7 57 5,970 Totals 7 $ 33 $ 6,985 8 $ 99 $ 8,518 15 $ 132 $ 15,503 Held-to-Maturity Mortgage-backed securities – residential (1) 1 $ - $ 173 - $ - $ - 1 $ - $ 173 State and municipal securities 7 5 924 6 13 1,422 13 18 2,346 Totals 8 $ 5 $ 1,097 6 $ 13 $ 1,422 14 $ 18 $ 2,519 December 31, 2016 Less than Twelve Months Twelve Months or More Total Number of Number of Number of Individual Unrealized Fair Individual Unrealized Fair Individual Unrealized Fair (Dollars in thousands) Securities Losses Value Securities Losses Value Securities Losses Value Available-for-Sale U.S. Government and agency obligations 6 $ 110 $ 6,996 - $ - $ - 6 $ 110 $ 6,996 Mortgage-backed securities - residential 3 49 4,441 2 14 987 5 63 5,428 Totals 9 $ 159 $ 11,437 2 $ 14 $ 987 11 $ 173 $ 12,424 Held-to-Maturity Mortgage-backed securities – residential (1) 1 $ - $ 178 - $ - $ - 1 $ - $ 178 State and municipal securities (1) 14 74 4,275 1 - 45 15 74 4,320 Totals 15 $ 74 $ 4,453 1 $ - $ 45 16 $ 74 $ 4,498 (1) |
Loans (Tables)
Loans (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Schedule of net loans | September 30, December 31, (In thousands) 2017 2016 Real estate loans: Secured by one-to-four family residences $ 201,711 $ 188,573 Secured by multi-family residences 8,602 5,103 Construction 10,295 6,134 Commercial real estate 12,728 8,440 Home equity lines of credit 17,690 16,797 Total real estate loans 251,026 225,047 Commercial and industrial loans 3,203 1,947 Other loans 68 75 Total loans 254,297 227,069 Net deferred loan origination costs (6 ) 113 Less allowance for loan losses (1,186 ) (990 ) Loans receivable, net $ 253,105 $ 226,192 |
Schedule of risk category of loans by class | As of September 30, 2017 Special (In thousands) Pass Mention Substandard Doubtful Total Real estate loans: Secured by one-to-four family residences $ 198,887 $ - $ 2,824 $ - $ 201,711 Secured by multi-family residences 8,602 - - - 8,602 Construction 10,295 - - - 10,295 Commercial real estate 12,728 - - - 12,728 Home equity lines of credit 17,454 - 236 - 17,690 Total real estate loans 247,966 - 3,060 - 251,026 Commercial & industrial loans 3,137 - 66 - 3,203 Other loans 68 - - - 68 Total loans $ 251,171 $ - $ 3,126 $ - $ 254,297 As of December 31, 2016 Special (In thousands) Pass Mention Substandard Doubtful Total Real estate loans: Secured by one-to-four family residences $ 187,079 $ - $ 1,494 $ - $ 188,573 Secured by multi-family residences 5,103 - - - 5,103 Construction 6,134 - - - 6,134 Commercial real estate 8,440 - - - 8,440 Home equity lines of credit 16,498 - 299 - 16,797 Total real estate loans 223,254 - 1,793 - 225,047 Commercial & industrial loans 1,900 - 47 - 1,947 Other loans 75 - - - 75 Total loans $ 225,229 $ - $ 1,840 $ - $ 227,069 |
Schedule of age of the loan delinquencies by type and by amount past due | As of September 30, 2017 30-59 Days 60-89 Days Past Due Past Due 90 Days Total Total Loans (In thousands) And Accruing And Accruing and Over Past Due Current Receivable Real estate loans: Secured by one-to-four family residences $ 495 $ - $ 37 $ 532 $ 201,179 $ 201,711 Secured by multi-family residences - - - - 8,602 8,602 Construction - - - - 10,295 10,295 Commercial - - - - 12,728 12,728 Home equity lines of credit - - - - 17,690 17,690 Total real estate loans 495 - 37 532 250,494 251,026 Commercial & industrial loans - - 66 66 3,137 3,203 Other loans - - - - 68 68 Total loans $ 495 $ - $ 103 $ 598 $ 253,699 $ 254,297 As of December 31, 2016 30-59 Days 60-89 Days Past Due Past Due 90 Days Total Total Loans (In thousands) And Accruing And Accruing and Over Past Due Current Receivable Real estate loans: Secured by one-to-four family residences $ 89 $ - $ - $ 89 $ 188,484 $ 188,573 Secured by multi-family residences - - - - 5,103 5,103 Construction - - - - 6,134 6,134 Commercial - - - - 8,440 8,440 Home equity lines of credit - - - - 16,797 16,797 Total real estate loans 89 - - 89 224,958 225,047 Commercial & industrial loans 47 - - 47 1,900 1,947 Other loans - - - - 75 75 Total loans $ 136 $ - $ - $ 136 $ 226,933 $ 227,069 |
Allowance for Loan Losses and21
Allowance for Loan Losses and Foreclosed Real Estate (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Loans and Leases Receivable Disclosure [Abstract] | |
Schedule of changes in the allowance for loan losses | For the three months ended September 30, 2017 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 690 $ 47 $ 49 $ 106 $ 109 $ 38 $ 63 $ 1,102 Charge-offs - - - - - - - - Recoveries - - - - - - - - Provisions 93 18 2 21 2 9 (61 ) 84 Ending balance $ 783 $ 65 $ 51 $ 127 $ 111 $ 47 $ 2 $ 1,186 For the three months ended September 30, 2016 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 569 $ 39 $ 18 $ 47 $ 105 $ 13 $ 109 $ 900 Charge-offs - - - - - - - - Recoveries - - - - - - - - Provisions (15 ) - 9 18 3 11 19 45 Ending balance $ 554 $ 39 $ 27 $ 65 $ 108 $ 24 $ 128 $ 945 For the nine months ended September 30, 2017 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 584 $ 38 $ 31 $ 84 $ 112 $ 28 $ 113 $ 990 Charge-offs - - - - - - - - Recoveries - - - - - - - - Provisions 199 27 20 43 (1 ) 19 (111 ) 196 Ending balance $ 783 $ 65 $ 51 $ 127 $ 111 $ 47 $ 2 $ 1,186 For the nine months ended September 30, 2016 Secured by Secured by one-to-four multi-family Home equity family residences residences Construction Commercial lines of credit Commercial Other/ (In thousands) real estate loans real estate loans real estate loans real estate loans real estate loans & industrial Unallocated Total Allowance for loan losses: Beginning Balance $ 524 $ 39 $ 6 $ 35 $ 101 $ 11 $ 95 $ 811 Charge-offs - - - - - - (1 ) (1 ) Recoveries - - - - - - - - Provisions 30 - 21 30 7 13 34 135 Ending balance $ 554 $ 39 $ 27 $ 65 $ 108 $ 24 $ 128 $ 945 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets measured at fair value on a recurring basis | September 30, 2017 (In thousands) Level 1 Level 2 Level 3 Total Fair Value Available-for-sale portfolio U.S. Government and agency obligations $ - $ 10,539 $ - $ 10,539 Mortgage-backed securities – residential - 8,514 - 8,514 Total available-for-sale securities $ - $ 19,053 $ - $ 19,053 December 31, 2016 (In thousands) Level 1 Level 2 Level 3 Total Fair Value Available-for-sale portfolio U.S. Government and agency obligations $ - $ 7,999 $ - $ 7,999 Mortgage-backed securities – residential - 9,748 - 9,748 Total available-for-sale securities $ - $ 17,747 $ - $ 17,747 |
Schedule of carrying amounts and estimated fair values of the financial instruments | September 30, 2017 December 31, 2016 Fair Value Carrying Estimated Carrying Estimated (In thousands) Hierarchy Amounts Fair Values Amounts Fair Values Financial assets: Cash and due from banks 1 $ 1,409 $ 1,409 $ 1,634 $ 1,634 Interest earning demand deposits 1 5,542 5,542 5,773 5,773 Securities - available-for-sale 2 19,053 19,053 17,747 17,747 Securities - held-to-maturity 2 6,919 6,959 7,420 7,384 Investment in restricted stock 2 3,498 3,498 2,886 2,886 Loans held for sale 2 4,180 4,180 2,059 2,059 Loans, net 3 253,105 252,144 226,192 225,569 Accrued interest receivable 1 798 798 652 652 Financial liabilities: Demand Deposits, Savings, NOW and MMDA 1 99,222 99,222 94,926 94,926 Time Deposits 2 100,331 100,509 88,008 88,043 Borrowings 2 69,523 69,441 56,813 57,008 Accrued interest payable 1 86 86 71 71 |
Accumulated Other Comprehensi23
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Comprehensive Income Loss Note [Abstract] | |
Schedule of accumulated other comprehensive income (loss) | For the three months ended September 30, 2017 (In thousands) Unrealized Gains and Losses on Unrealized Loss on Securities Total Beginning balance $ (66 ) $ - $ (66 ) Other comprehensive loss before reclassifications (5 ) - (5 ) Ending balance $ (71 ) $ - $ (71 ) For the three months ended September 30, 2016 (In thousands) Unrealized Gains and Losses on Securities reclassified from AFS Total Beginning balance $ 75 $ (45 ) $ 30 Other comprehensive (loss) income before reclassifications (53 ) 45 (8 ) Ending balance $ 22 $ - $ 22 For the three months ended September 30, Details about AOCI 2017 2016 Affected Line Item in the Statement of Income Available for sale securities $ - $ 24 Realized gain on sale of securities Held to maturity securities - 12 Realized gain on sale of securities - (12 ) Provision for Income Taxes $ - $ 24 Net Income For the nine months ended September 30, 2017 (In thousands) Unrealized Gains and Losses on Unrealized Loss on Securities Total Beginning balance $ (85 ) $ - $ (85 ) Other comprehensive income before reclassifications 14 - 14 Ending balance $ (71 ) $ - $ (71 ) For the nine months ended September 30, 2016 (In thousands) Unrealized Gains and Losses on Securities reclassified from AFS Total Beginning balance $ (4 ) $ (208 ) $ (212 ) Other comprehensive income before reclassifications 26 208 234 Ending balance $ 22 $ - $ 22 For the nine months ended September 30, Details about AOCI 2017 2016 Affected Line Item in the Statement of Income Available for sale securities $ - $ 24 Realized gain on sale of securities Held to maturity securities - 12 Realized gain on sale of securities - (12 ) Provision for Income Taxes $ - $ 24 Net Income |
Basis of Presentation (Detail T
Basis of Presentation (Detail Textuals) $ / shares in Units, $ in Millions | Jul. 13, 2016USD ($)$ / sharesshares | Sep. 30, 2017$ / shares | Dec. 31, 2016$ / shares |
Basis Of Accounting [Line Items] | |||
Common stock - par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |
FSB Community Bankshares, MHC (the "MHC") | |||
Basis Of Accounting [Line Items] | |||
Number of common stock issued | shares | 1,034,649 | ||
Common stock - par value (in dollars per share) | $ / shares | $ 0.01 | ||
Offering price (in dollars per share) | $ / shares | $ 10 | ||
Gross offering proceeds from stock offering | $ | $ 10.3 | ||
Conversion related expenses | $ | 1.4 | ||
Net proceeds from stock offering | $ | $ 8.9 | ||
Number of shares received | shares | 1.0884 | ||
Conversion ratio on shares outstanding | 1.0884 |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Basic Earnings Per Common Share | ||||
Net income available to common stockholders | $ 202 | $ 252 | $ 453 | $ 439 |
Weighted average common shares outstanding | 1,892 | 1,905 | 1,903 | 1,899 |
Basic earnings per common share (in dollars per share) | $ 0.11 | $ 0.13 | $ 0.24 | $ 0.23 |
Earnings per Common Share (De26
Earnings per Common Share (Detail Textuals) | Jul. 13, 2016 |
FSB Community Bankshares, MHC (the "MHC") | |
Basis Of Accounting [Line Items] | |
Conversion ratio on shares outstanding | 1.0884 |
Investment Securities - Amortiz
Investment Securities - Amortized cost and estimated fair value of securities with gross unrealized gains and losses (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Available-for-Sale Portfolio | ||
Amortized cost | $ 19,160 | $ 17,875 |
Gross unrealized gains | 25 | 45 |
Gross unrealized losses | (132) | (173) |
Fair Value | 19,053 | 17,747 |
Held-to-Maturity Portfolio | ||
Amortized cost | 6,919 | 7,420 |
Gross unrealized gains | 58 | 38 |
Gross unrealized losses | (18) | (74) |
Fair Value | 6,959 | 7,384 |
U.S. Government and agency obligations | ||
Available-for-Sale Portfolio | ||
Amortized cost | 10,613 | 8,106 |
Gross unrealized gains | 1 | 3 |
Gross unrealized losses | (75) | (110) |
Fair Value | 10,539 | 7,999 |
Mortgage-backed securities - residential | ||
Available-for-Sale Portfolio | ||
Amortized cost | 8,547 | 9,769 |
Gross unrealized gains | 24 | 42 |
Gross unrealized losses | (57) | (63) |
Fair Value | 8,514 | 9,748 |
Held-to-Maturity Portfolio | ||
Amortized cost | 649 | 745 |
Gross unrealized gains | 10 | 13 |
Gross unrealized losses | 0 | 0 |
Fair Value | 659 | 758 |
State and Municipal securities | ||
Held-to-Maturity Portfolio | ||
Amortized cost | 6,270 | 6,675 |
Gross unrealized gains | 48 | 25 |
Gross unrealized losses | (18) | (74) |
Fair Value | $ 6,300 | $ 6,626 |
Investment Securities - Amort28
Investment Securities - Amortized cost and estimated fair value by contractual maturity of debt securities (Details 1) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Available-for-Sale Amortized Cost | ||
Due in one year or less | $ 0 | |
Due after one year through five years | 8,608 | |
Due after five years through ten years | 1,005 | |
Due after ten years | 1,000 | |
Sub-total | 10,613 | |
Amortized cost | 19,160 | $ 17,875 |
Available-for-Sale Fair Value | ||
Due in one year or less | 0 | |
Due after one year through five years | 8,546 | |
Due after five years through ten years | 1,007 | |
Due after ten years | 986 | |
Sub-total | 10,539 | |
Fair Value | 19,053 | 17,747 |
Held-to-Maturity Amortized Cost | ||
Due in one year or less | 998 | |
Due after one year through five years | 3,685 | |
Due after five years through ten years | 1,587 | |
Due after ten years | 0 | |
Sub-total | 6,270 | |
Amortized cost | 6,919 | 7,420 |
Held-to-Maturity Fair Value | ||
Due in one year or less | 999 | |
Due after one year through five years | 3,698 | |
Due after five years through ten years | 1,603 | |
Due after ten years | 0 | |
Sub-total | 6,300 | |
Fair Value | 6,959 | 7,384 |
Mortgage-backed securities - residential | ||
Available-for-Sale Amortized Cost | ||
Amortized cost | 8,547 | 9,769 |
Available-for-Sale Fair Value | ||
Fair Value | 8,514 | 9,748 |
Held-to-Maturity Amortized Cost | ||
Amortized cost | 649 | 745 |
Held-to-Maturity Fair Value | ||
Fair Value | $ 659 | $ 758 |
Investment Securities - Gross u
Investment Securities - Gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (Details 2) $ in Thousands | Sep. 30, 2017USD ($)SecuritiesSecurity | Dec. 31, 2016USD ($)SecuritiesSecurity | ||
Available-for-Sale | ||||
Less than Twelve Months Number of individual securities | Security | 7 | 9 | ||
Less than Twelve Months, unrealized losses | $ 33 | $ 159 | ||
Less than Twelve Months, fair value | $ 6,985 | $ 11,437 | ||
Twelve Months or More Number of individual securities | Security | 8 | 2 | ||
Twelve Months or More, unrealized losses | $ 99 | $ 14 | ||
Twelve Months or More, fair value | $ 8,518 | $ 987 | ||
Total Number of Individual Securities | Security | 15 | 11 | ||
Total Unrealized Losses | $ 132 | $ 173 | ||
Total Fair Value | $ 15,503 | $ 12,424 | ||
Held-to-Maturity | ||||
Less than Twelve Months Number of individual securities | Securities | 8 | 15 | ||
Less than Twelve Months, Unrealized Losses | $ 5 | $ 74 | ||
Less than Twelve Months, Fair Value | $ 1,097 | $ 4,453 | ||
Twelve Months or More Number of individual securities | Securities | 6 | 1 | ||
Twelve Months or More, Unrealized Losses | $ 13 | $ 0 | ||
Twelve Months or More, Fair Value | $ 1,422 | $ 45 | ||
Total Number of Individual Securities | Securities | 14 | 16 | ||
Total Unrealized Losses | $ 18 | $ 74 | ||
Total Fair Value | $ 2,519 | $ 4,498 | ||
U.S. Government and agency obligations | ||||
Available-for-Sale | ||||
Less than Twelve Months Number of individual securities | Security | 3 | 6 | ||
Less than Twelve Months, unrealized losses | $ 9 | $ 110 | ||
Less than Twelve Months, fair value | $ 3,493 | $ 6,996 | ||
Twelve Months or More Number of individual securities | Security | 5 | 0 | ||
Twelve Months or More, unrealized losses | $ 66 | $ 0 | ||
Twelve Months or More, fair value | $ 6,040 | $ 0 | ||
Total Number of Individual Securities | Security | 8 | 6 | ||
Total Unrealized Losses | $ 75 | $ 110 | ||
Total Fair Value | $ 9,533 | $ 6,996 | ||
Mortgage-backed securities - residential | ||||
Available-for-Sale | ||||
Less than Twelve Months Number of individual securities | Security | 4 | 3 | ||
Less than Twelve Months, unrealized losses | $ 24 | $ 49 | ||
Less than Twelve Months, fair value | $ 3,492 | $ 4,441 | ||
Twelve Months or More Number of individual securities | Security | 3 | 2 | ||
Twelve Months or More, unrealized losses | $ 33 | $ 14 | ||
Twelve Months or More, fair value | $ 2,478 | $ 987 | ||
Total Number of Individual Securities | Security | 7 | 5 | ||
Total Unrealized Losses | $ 57 | $ 63 | ||
Total Fair Value | $ 5,970 | $ 5,428 | ||
Held-to-Maturity | ||||
Less than Twelve Months Number of individual securities | Securities | [1] | 1 | 1 | |
Less than Twelve Months, Unrealized Losses | [1] | $ 0 | $ 0 | |
Less than Twelve Months, Fair Value | [1] | $ 173 | $ 178 | |
Twelve Months or More Number of individual securities | Securities | [1] | 0 | 0 | |
Twelve Months or More, Unrealized Losses | [1] | $ 0 | $ 0 | |
Twelve Months or More, Fair Value | [1] | $ 0 | $ 0 | |
Total Number of Individual Securities | Securities | [1] | 1 | 1 | |
Total Unrealized Losses | [1] | $ 0 | $ 0 | |
Total Fair Value | [1] | $ 173 | $ 178 | |
State and Municipal securities | ||||
Held-to-Maturity | ||||
Less than Twelve Months Number of individual securities | Securities | 7 | 14 | [1] | |
Less than Twelve Months, Unrealized Losses | $ 5 | $ 74 | [1] | |
Less than Twelve Months, Fair Value | $ 924 | $ 4,275 | [1] | |
Twelve Months or More Number of individual securities | Securities | 6 | 1 | [1] | |
Twelve Months or More, Unrealized Losses | $ 13 | $ 0 | [1] | |
Twelve Months or More, Fair Value | $ 1,422 | $ 45 | [1] | |
Total Number of Individual Securities | Securities | 13 | 15 | [1] | |
Total Unrealized Losses | $ 18 | $ 74 | [1] | |
Total Fair Value | $ 2,346 | $ 4,320 | [1] | |
[1] | Aggregate unrealized loss position of these securities is less than $500. |
Investment Securities - Gross30
Investment Securities - Gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position (Parentheticals) (Details 2) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
State and Municipal securities | |
Available For Sale And Held To Maturity Securities Unrealized Loss Position [Line Items] | |
Aggregate unrealized loss position | $ 500 |
Investment Securities (Detail T
Investment Securities (Detail Textuals) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2016USD ($) | Sep. 30, 2017USD ($)Security | Sep. 30, 2016USD ($) | Dec. 31, 2016Security | |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | ||||
Number of securities in unrealized loss position | 29 | 27 | ||
Number of securities in unrealized loss position in for greater than twelve months | 14 | 3 | ||
Number of securities in unrealized loss position in for less than twelve months | 15 | 24 | ||
Realized gain on sale of securities | $ | $ 36,000 | $ 36,000 | ||
Proceeds from sale of securities | $ | $ 2,600,000 | 2,600,000 | ||
Available-for-sale Securities | ||||
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | ||||
Realized gain on sale of securities | $ | 24,000 | |||
Held-to-maturity Securities | ||||
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | ||||
Realized gain on sale of securities | $ | $ 12,000 | |||
Percentage of principal outstanding held to maturity securities | 85.00% | |||
Mortgage-backed securities - residential | ||||
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | ||||
Number of securities in unrealized loss position in for greater than twelve months | 8 | |||
Number of securities in unrealized loss position in for less than twelve months | 8 | |||
State and political subdivisions | ||||
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | ||||
Number of securities in unrealized loss position in for greater than twelve months | 6 | |||
Number of securities in unrealized loss position in for less than twelve months | 7 |
Loans - Major classifications o
Loans - Major classifications of loans (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Dec. 31, 2015 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | $ 254,297 | $ 227,069 | ||||
Net deferred loan origination costs | (6) | 113 | ||||
Less: Allowance for loan losses | (1,186) | $ (1,102) | (990) | $ (945) | $ (900) | $ (811) |
Loans receivable, net | 253,105 | 226,192 | ||||
Real estate loans: | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 251,026 | 225,047 | ||||
Real estate loans: | Secured by one-to-four family residences | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 201,711 | 188,573 | ||||
Less: Allowance for loan losses | (783) | (690) | (584) | (554) | (569) | (524) |
Real estate loans: | Secured by multi-family residences | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 8,602 | 5,103 | ||||
Less: Allowance for loan losses | (65) | (47) | (38) | (39) | (39) | (39) |
Real estate loans: | Construction | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 10,295 | 6,134 | ||||
Less: Allowance for loan losses | (51) | (49) | (31) | (27) | (18) | (6) |
Real estate loans: | Commercial real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 12,728 | 8,440 | ||||
Less: Allowance for loan losses | (127) | (106) | (84) | (65) | (47) | (35) |
Real estate loans: | Home equity lines of credit | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 17,690 | 16,797 | ||||
Less: Allowance for loan losses | (111) | (109) | (112) | (108) | (105) | (101) |
Other Loans Portfolio Segment | Commercial and industrial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 3,203 | 1,947 | ||||
Less: Allowance for loan losses | (47) | (38) | (28) | (24) | (13) | (11) |
Other Loans Portfolio Segment | Other loans | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 68 | 75 | ||||
Less: Allowance for loan losses | $ (2) | $ (63) | $ (113) | $ (128) | $ (109) | $ (95) |
Loans - Risk category of loans
Loans - Risk category of loans by class (Details 1) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 254,297 | $ 227,069 |
Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 251,171 | 225,229 |
Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 3,126 | 1,840 |
Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 251,026 | 225,047 |
Real estate loans: | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 247,966 | 223,254 |
Real estate loans: | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 3,060 | 1,793 |
Real estate loans: | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Secured by one-to-four family residences | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 201,711 | 188,573 |
Real estate loans: | Secured by one-to-four family residences | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 198,887 | 187,079 |
Real estate loans: | Secured by one-to-four family residences | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Secured by one-to-four family residences | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 2,824 | 1,494 |
Real estate loans: | Secured by one-to-four family residences | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Secured by multi-family residences | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 8,602 | 5,103 |
Real estate loans: | Secured by multi-family residences | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 8,602 | 5,103 |
Real estate loans: | Secured by multi-family residences | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Secured by multi-family residences | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Secured by multi-family residences | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Construction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 10,295 | 6,134 |
Real estate loans: | Construction | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 10,295 | 6,134 |
Real estate loans: | Construction | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Construction | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Construction | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 12,728 | 8,440 |
Real estate loans: | Commercial real estate | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 12,728 | 8,440 |
Real estate loans: | Commercial real estate | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Commercial real estate | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Commercial real estate | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Home equity lines of credit | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 17,690 | 16,797 |
Real estate loans: | Home equity lines of credit | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 17,454 | 16,498 |
Real estate loans: | Home equity lines of credit | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Real estate loans: | Home equity lines of credit | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 236 | 299 |
Real estate loans: | Home equity lines of credit | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Other Loans Portfolio Segment | Commercial & industrial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 3,203 | 1,947 |
Other Loans Portfolio Segment | Commercial & industrial loans | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 3,137 | 1,900 |
Other Loans Portfolio Segment | Commercial & industrial loans | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Other Loans Portfolio Segment | Commercial & industrial loans | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 66 | 47 |
Other Loans Portfolio Segment | Commercial & industrial loans | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Other Loans Portfolio Segment | Other loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 68 | 75 |
Other Loans Portfolio Segment | Other loans | Pass | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 68 | 75 |
Other Loans Portfolio Segment | Other loans | Special Mention | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Other Loans Portfolio Segment | Other loans | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 0 | 0 |
Other Loans Portfolio Segment | Other loans | Doubtful | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 0 | $ 0 |
Loans - Analysis of the age of
Loans - Analysis of the age of the loan delinquencies by type and by amount past due (Details 2) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 598 | $ 136 |
Current | 253,699 | 226,933 |
Loans | 254,297 | 227,069 |
30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 495 | 136 |
60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 103 | 0 |
Real estate loans: | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 532 | 89 |
Current | 250,494 | 224,958 |
Loans | 251,026 | 225,047 |
Real estate loans: | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 495 | 89 |
Real estate loans: | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 37 | 0 |
Real estate loans: | Secured by one-to-four family residences | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 532 | 89 |
Current | 201,179 | 188,484 |
Loans | 201,711 | 188,573 |
Real estate loans: | Secured by one-to-four family residences | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 495 | 89 |
Real estate loans: | Secured by one-to-four family residences | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Secured by one-to-four family residences | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 37 | 0 |
Real estate loans: | Secured by multi-family residences | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 8,602 | 5,103 |
Loans | 8,602 | 5,103 |
Real estate loans: | Secured by multi-family residences | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Secured by multi-family residences | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Secured by multi-family residences | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Construction | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 10,295 | 6,134 |
Loans | 10,295 | 6,134 |
Real estate loans: | Construction | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Construction | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Construction | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Commercial | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 12,728 | 8,440 |
Loans | 12,728 | 8,440 |
Real estate loans: | Commercial | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Commercial | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Commercial | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Home equity lines of credit | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 17,690 | 16,797 |
Loans | 17,690 | 16,797 |
Real estate loans: | Home equity lines of credit | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Home equity lines of credit | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Real estate loans: | Home equity lines of credit | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Other Loans Portfolio Segment | Commercial & industrial loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 66 | 47 |
Current | 3,137 | 1,900 |
Loans | 3,203 | 1,947 |
Other Loans Portfolio Segment | Commercial & industrial loans | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 47 |
Other Loans Portfolio Segment | Commercial & industrial loans | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Other Loans Portfolio Segment | Commercial & industrial loans | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 66 | 0 |
Other Loans Portfolio Segment | Other loans | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Current | 68 | 75 |
Loans | 68 | 75 |
Other Loans Portfolio Segment | Other loans | 30-59 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Other Loans Portfolio Segment | Other loans | 60-89 Days Past Due And Accruing | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | 0 | 0 |
Other Loans Portfolio Segment | Other loans | 90 Days and Over | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due | $ 0 | $ 0 |
Loans (Detail Textuals)
Loans (Detail Textuals) | 9 Months Ended | |
Sep. 30, 2017USD ($)SecurityLoans | Dec. 31, 2016USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 254,297,000 | $ 227,069,000 |
Total Past Due | 598,000 | 136,000 |
30-59 Days Past Due And Accruing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | 495,000 | 136,000 |
90 Days and Over | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | 103,000 | 0 |
Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 3,126,000 | 1,840,000 |
Residential mortgage loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Carrying value of loans pledged as collateral | 186,600,000 | 165,500,000 |
Loans serviced for others | $ 131,500,000 | 118,600,000 |
Number of nonaccrual loans | Security | 1 | |
Financing receivable, recorded Investment, nonaccrual status | $ 37,000 | |
Real estate loans: | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 251,026,000 | 225,047,000 |
Total Past Due | 532,000 | 89,000 |
Real estate loans: | 30-59 Days Past Due And Accruing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | 495,000 | 89,000 |
Real estate loans: | 90 Days and Over | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | 37,000 | 0 |
Real estate loans: | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 3,060,000 | 1,793,000 |
Real estate loans: | Secured by one-to-four family residences | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 201,711,000 | 188,573,000 |
Total Past Due | 532,000 | 89,000 |
Real estate loans: | Secured by one-to-four family residences | 30-59 Days Past Due And Accruing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | $ 495,000 | 89,000 |
Percentage of past due loans increased | 456.20% | |
Amount of past due loans increased | $ 406,000 | |
Number of loans newly categorized | Loans | 3 | |
Real estate loans: | Secured by one-to-four family residences | 90 Days and Over | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | $ 37,000 | 0 |
Real estate loans: | Secured by one-to-four family residences | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | 2,824,000 | 1,494,000 |
Amount of loan increased | $ 1,300,000 | |
Percentage of loan increased | 89.00% | |
Number of loans newly categorized | Loans | 8 | |
Other Loans Portfolio Segment | Commercial & industrial loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 3,203,000 | 1,947,000 |
Total Past Due | 66,000 | 47,000 |
Other Loans Portfolio Segment | Commercial & industrial loans | 30-59 Days Past Due And Accruing | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | 0 | 47,000 |
Other Loans Portfolio Segment | Commercial & industrial loans | 90 Days and Over | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total Past Due | $ 66,000 | 0 |
Number of loans | Loans | 1 | |
Other Loans Portfolio Segment | Commercial & industrial loans | Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans | $ 66,000 | 47,000 |
Other Assets | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Fair value of mortgage servicing rights | $ 895,000 | $ 804,000 |
Allowance for Loan Losses and36
Allowance for Loan Losses and Foreclosed Real Estate - Allowance for loan losses allocated by loan class and the activity (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | $ 1,102 | $ 900 | $ 990 | $ 811 |
Charge-offs | 0 | 0 | 0 | (1) |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | 84 | 45 | 196 | 135 |
Ending Balance | 1,186 | 945 | 1,186 | 945 |
Real estate loans: | Secured by one-to-four family residences | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | 690 | 569 | 584 | 524 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | 93 | (15) | 199 | 30 |
Ending Balance | 783 | 554 | 783 | 554 |
Real estate loans: | Secured by multi-family residences | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | 47 | 39 | 38 | 39 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | 18 | 0 | 27 | 0 |
Ending Balance | 65 | 39 | 65 | 39 |
Real estate loans: | Construction | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | 49 | 18 | 31 | 6 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | 2 | 9 | 20 | 21 |
Ending Balance | 51 | 27 | 51 | 27 |
Real estate loans: | Commercial | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | 106 | 47 | 84 | 35 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | 21 | 18 | 43 | 30 |
Ending Balance | 127 | 65 | 127 | 65 |
Real estate loans: | Home equity lines of credit | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | 109 | 105 | 112 | 101 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | 2 | 3 | (1) | 7 |
Ending Balance | 111 | 108 | 111 | 108 |
Other Loans Portfolio Segment | Commercial & industrial loans | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | 38 | 13 | 28 | 11 |
Charge-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | 9 | 11 | 19 | 13 |
Ending Balance | 47 | 24 | 47 | 24 |
Other Loans Portfolio Segment | Other/Unallocated | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning Balance | 63 | 109 | 113 | 95 |
Charge-offs | 0 | 0 | 0 | (1) |
Recoveries | 0 | 0 | 0 | 0 |
Provisions | (61) | 19 | (111) | 34 |
Ending Balance | $ 2 | $ 128 | $ 2 | $ 128 |
Allowance for Loan Losses and37
Allowance for Loan Losses and Foreclosed Real Estate (Detail Textuals) | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Real estate loans | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Value of loan in process of foreclosure | $ 37,000 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Available-for-Sale Portfolio | ||
Securities available for sale | $ 19,053 | $ 17,747 |
Fair Value | Level 2 | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 19,053 | 17,747 |
Fair Value, Measurements, Recurring | Level 1 | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | U.S. Government and agency obligations | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Mortgage-backed securities - residential | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 19,053 | 17,747 |
Fair Value, Measurements, Recurring | Level 2 | U.S. Government and agency obligations | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 10,539 | 7,999 |
Fair Value, Measurements, Recurring | Level 2 | Mortgage-backed securities - residential | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 8,514 | 9,748 |
Fair Value, Measurements, Recurring | Level 3 | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | U.S. Government and agency obligations | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Mortgage-backed securities - residential | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Fair Value | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 19,053 | 17,747 |
Fair Value, Measurements, Recurring | Fair Value | U.S. Government and agency obligations | ||
Available-for-Sale Portfolio | ||
Securities available for sale | 10,539 | 7,999 |
Fair Value, Measurements, Recurring | Fair Value | Mortgage-backed securities - residential | ||
Available-for-Sale Portfolio | ||
Securities available for sale | $ 8,514 | $ 9,748 |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying amounts and estimated fair values of the financial instruments (Details 1) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Financial assets: | ||
Interest earning demand deposits | $ 5,542 | $ 5,773 |
Securities - available-for-sale | 19,053 | 17,747 |
Securities - held-to-maturity | 6,919 | 7,420 |
Carrying Amount | Level 1 | ||
Financial assets: | ||
Cash and due from banks | 1,409 | 1,634 |
Interest earning demand deposits | 5,542 | 5,773 |
Accrued interest receivable | 798 | 652 |
Financial liabilities: | ||
Demand Deposits, Savings, NOW and MMDA | 99,222 | 94,926 |
Accrued interest payable | 86 | 71 |
Carrying Amount | Level 2 | ||
Financial assets: | ||
Securities - available-for-sale | 19,053 | 17,747 |
Securities - held-to-maturity | 6,919 | 7,420 |
Investment in restricted stock | 3,498 | 2,886 |
Loans held for sale | 4,180 | 2,059 |
Financial liabilities: | ||
Time Deposits | 100,331 | 88,008 |
Borrowings | 69,523 | 56,813 |
Carrying Amount | Level 3 | ||
Financial assets: | ||
Loans, net | 253,105 | 226,192 |
Fair Value | Level 1 | ||
Financial assets: | ||
Cash and due from banks | 1,409 | 1,634 |
Interest earning demand deposits | 5,542 | 5,773 |
Accrued interest receivable | 798 | 652 |
Financial liabilities: | ||
Demand Deposits, Savings, NOW and MMDA | 99,222 | 94,926 |
Accrued interest payable | 86 | 71 |
Fair Value | Level 2 | ||
Financial assets: | ||
Securities - available-for-sale | 19,053 | 17,747 |
Securities - held-to-maturity | 6,959 | 7,384 |
Investment in restricted stock | 3,498 | 2,886 |
Loans held for sale | 4,180 | 2,059 |
Financial liabilities: | ||
Time Deposits | 100,509 | 88,043 |
Borrowings | 69,441 | 57,008 |
Fair Value | Level 3 | ||
Financial assets: | ||
Loans, net | $ 252,144 | $ 225,569 |
Accumulated Other Comprehensi40
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Unrealized Gains and Losses on Available-for-Sale Securities, Beginning balance | $ (66) | $ 75 | $ (85) | $ (4) |
Unrealized Gains and Losses on Available-for-Sale Securities, Other comprehensive (loss) income before reclassifications | (5) | (53) | 14 | 26 |
Unrealized Gains and Losses on Available-for-Sale Securities, Ending balance | (71) | 22 | (71) | 22 |
Unrealized Loss on Securities Transferred to Held-to-Maturity, Beginning balance | 0 | (45) | 0 | (208) |
Unrealized Loss on Securities Transferred to Held-to-Maturity, Other comprehensive (loss) income before reclassifications | 0 | 45 | 0 | 208 |
Unrealized Loss on Securities Transferred to Held-to-Maturity, Ending balance | 0 | 0 | 0 | 0 |
Accumulated Other Comprehensive Income (Loss), Net of Tax, Beginning Balance | (66) | 30 | (85) | (212) |
Other comprehensive (loss) income before reclassifications | (5) | (8) | 14 | 234 |
Accumulated Other Comprehensive Income (Loss), Net of Tax, Ending Balance | $ (71) | $ 22 | $ (71) | $ 22 |
Accumulated Other Comprehensi41
Accumulated Other Comprehensive Income (Loss) (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Comprehensive Income Loss Note [Abstract] | ||||
Realized gain on available for sale securities | $ 0 | $ 24 | $ 0 | $ 24 |
Realized gain on held to maturity securities | 0 | (12) | 0 | (12) |
Provision for Income Taxes | 0 | (12) | 0 | (12) |
Net Income | $ 0 | $ 24 | $ 0 | $ 24 |